China’s AI Expansion Boosts Iridium Demand

Published: Aug 20, 2026 16:54

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[SMM Flash] China’s expanding AI, optical communications and semiconductor sectors are driving stronger demand for iridium, particularly for high-temperature crucibles used in crystal growth. A processor in Shaanxi reported that its iridium processing volume in H1 2026 had already matched the full-year 2025 level, while a 1-kg iridium crucible was valued at around RMB 2 million (approximately USD 300,000). The company said such crucibles accounted for about 25% of its processing volume.

Iridium prices have also surged, with prices exceeding USD 7,800/oz on August 4, compared with above USD 4,500/oz at end-2025, representing an increase of more than 70%. Continued investment in AI infrastructure, optical communications and semiconductor manufacturing could provide further support for iridium demand, although the small market size and limited supply data make the overall demand impact difficult to quantify.

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